Bone of contention
Robert Monahan
Advisers should think about who is going to look after the family pet after a client dies, as it can prove to be very expensive.
Australian Executor Trustees senior estate planner Robert Monahan said while some pet owners make very specific instructions in their wills about the care of their pets, others unwittingly leave their animals with an unsettled future.
“One of the most common questions I get asked by my clients when preparing a will is how they can ensure their pet is looked after,” he said.
“For many people, the future care of their pets is considered just as important as the guardianship of children.”
Monahan said advisers shouldn’t assume someone in the family would automatically take care of their pet.
“One of the biggest problems in estate planning for pets is often the client designates a caretaker for their animal in their wills but doesn’t leave that person any money to care for the animal.
“It can be quite costly to look after a pet and this can put significant responsibility and financial burden on the caretaker,” Monahan said.
“It’s not enough to rely on the good nature of family and friends. Your wishes for your pet must be clearly communicated, otherwise the animal may be left with no home and a bleak future.”
He said a pet’s future needs with a preferred caretaker should be discussed ahead of the owner dying.
“There should also be a pool of funds from the estate to cover the pet’s costs,” Monahan said.
“And any specific requests should be written down.”
Recommended for you
Multiple industry organisations have shared their thoughts on AFCA’s proposed rules amendment, supporting the idea of firms being named publicly when they fail to comply with determinations.
Channel Capital has appointed a head of investment oversight who joins from 14 years at asset consulting firm JANA Investment Advisers.
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
